The Warner sun. (Warner, Brown Co., Dakota [S.D.]) 1885-1???, 1887-06-24
LONG AND SHORT HAULS.
The Interstate Commission Finally Renders q
Decision ON the Fourth SeOHoH Of the
Law.
The Railroad Companies Allowed to Be Guided
By Their Own Judgement In Constructing
tho Act.

| commerce commission rendered TO- nlghC
the long-expected decision upon she fourth
section OF the Interstate act, which pro-
hibits "a greater charge for the transpOr-
tation OF passengers and property over
@ shorter than longer distance
| in the same direction under sub
stantially similar circumstances
and conditions" The decision was made
upon the petition OF the Louisville & Nash
Vile and other railroad companies which
were among the first to apply for relief
| from the opera tion oi the fourth section.
The decision comprises more than 3. 900
words. The most important feature is
! the announcement that the commission,
| after mature consideration, il satisfied
| that the statute does not require it,
e every instance c! an exceptions! ease
! to grant its order for relief. The decision
| says:
Before the carrier is st liberty in it's de-
! parture from the genera rule, the carrier
must Judge for itself what are 'substanti-
ally similar circumst4 DCes aud cOndi-
| tions, which preclude SPECIAL rate, re-
! bate or drawback which is made unlawful
! by the law, since no tribunal is empowered
| to Judge for it until after the carrier has
acted; then only for the purpose OF deter
mining whether its actions constitutes q
violation OF law. The carrier judges on
peril Of the consequences; but the special
are not illegal when it turns out that the
circumstances aud conditions were not
such as forbid it, and as congress clearly
! intended this, it must also, when using the
Same words in the fourth section, have in
tended that the carrier whose privilege was
in some way limited by them. should act
upon it's judgment OF limiting circum-
stances and conditions. The commission,
therefore, will not undertake to decide in
hot -haN ANa
not constitute discrimination under sub
stantially similar circumstances and con-
ditiOns." but will leave the railroad COM
panies in fixing their tariffs to act uUOn
their own judgment and at their risk sub
iect to accountability before the commits.
sion and the courts in cases whore com.
plaint is made by interested parties Of
violation OF the law.
10 GUIDE THB RAILROADS.
For the guidance, however, OF railroad
companies the commission has considered
at great length nearly all questions raised
under the fourth section OF the law, and
has reached conclusions which are sum-
married as follows:
First-The prohibition in the fourth see
tion against a greater charge for shorter
than for longer distance over the Same
line in the same direction, the shorter be-
ing included within the longer dist8EOe, as
qualified therein, is limited to cases in
which circumstances and conditions are
substantially similar.
Second-The phrase under substantially
similar circumstances and conditions" in
the fourth section, is used in the same
sense as in the second section; snd under
the qualified form of prohibition in the
fourth section, carriers are required to
Judge in the frat instance with regard to
similarity or dissimilarity Of circumstances
and conditions that forbid or permit q
greater charge for a shorter distance.
Third-Ths Judgment OF carriers in re-
spect to circumstances and conditions is
not final. but subject TO the authority of
the commission and courts 90 decide
whether an error has been committed or
whether this statute has been violated;
and in case OF complaint for vfolatloa OF
the fourth section oil the act, the burden OF
proof is on the carrier to justify any do
parture from the general rule prescribed
by the statute, by showing circumstances
and conditions, substantially dissimiIar.
Fourth The provisions Of section /, re-
quiring charges To be reasonable and just,
and Of section 2, forbidding unjust dis
elimination, apply when exceptional
charges are made under section a. as they
do in other cases.
Fifth-The existence Of actual competi-
tion which is Of controlling force in respect
to traffic may make out dissimiIar circum-
stances and conditions emitting
tie carrier TO charge less
for longer than for shorter haul over
the same line in the same direction. the
shorter being included in the longer in the
following cases: (l) When competition is
with carriers by water which are not sub
iect to the provisions of the statute. CD
When the competition is with foreign or
other railroads which are not subject 10
the provisions of the statute. (3l IN rare
and peculiar cases oi competition between
railroads which are subject TO the statute
when the strict application Of the general
rule OF the 5tatnte would be destructive OF
compisition.
Sixth--When greater charge IN the ag-
rsegass Is made Tor tho transportation Of
passengers or like kind of property for a
shorter than for lonxar distance over
the Same line in the same direction, the
shorter not being included In the longer dis
tance, ieds insufficient Justification there
fore that traffic which IS subjected to such
greater chargei or local traffic, andthat
which is given moro favorable rates IL not,
nor Is IL sufficient Justification for such
greater charge that short haul traffic more
expensive to the carrier unless when the
circumstances are such as make it excep-
tionally expensive or long haul traffic OK
eeptionally inexpensive, the differences be-
ing extraordinary and susceptible ofproof;
nor that lesser charge ON 4 longer haul,
merely continuation OF favorable rates
under which trade centers, or individual es-
tabiishments have been built up. The
fact that long haul traffIe will only bear
certain rates Il no reason for carrying il
TOR less than cost ut the expense of othes
traffic.
c0NsfnERED TH DETAIL
Considerfnu the eases governed Nv tha
fifth section III the above abstract the com
mission tSkesup the FIRST, competitfonwit
carriers by water, and says:
Iii was fairly shown Before us that III.